Indian Renewable Energy Industry 2015 - Aarkstore

EXECUTIVE SUMMARY:
India is the fourth largest importer of oil and the sixth largest importer of petroleum products and LNG globally. The increased use of indigenous renewable resources is expected to reduce India’s dependence on expensive imported fossil fuels. The government is playing an active role in promoting the adoption of renewable energy resources by offering various incentives, such as generation- based incentives (GBIs), capital and interest subsidies, viability gap funding, concessional finance, fiscal incentives etc.

The National Solar Mission aims to promote the development and use of solar energy for power generation and other uses, with the ultimate objective of making solar energy compete with fossil-based energy options. The objective of the National Solar Mission is to reduce the cost of solar power generation in the country through long-term policy, large scale deployment goals, aggressive R&D and the domestic production of critical raw materials, components and products.

Renewable energy is becoming increasingly cost-competitive compared to fossil fuel-based generation. Wind energy equipment prices have fallen dramatically due to technological innovation, increasing manufacturing scale and experience curve gains. Prices for solar modules have declined by almost 80% since 2008 and wind turbine prices have declined by more than 25% during the same period. The government has created a liberal environment for foreign investment in renewable energy projects. The establishment of a dedicated financial institution – the Indian Renewable Energy Development Agency, makes for renewed impetus on the promotion, development and extension of financial assistance for renewable energy and energy efficiency/conservation projects.